Transport Minister Leo Varadkar has called for measures to be implemented into the property tax to avoid it penalising city dwellers.
The new property tax is expected to be based around a percentage of a home’s value. However, with homes in major urban areas such as Dublin costing more than some bigger homes around the country, there is a fear that those living in cities could be hit hardest by the new tax.
Speaking at the weekend, Minister Varadkar said: “We will have to ensure that it doesn’t discriminate very heavily against Dublin. The last property tax raised 75% of its income in Dublin.”
He also said that the new tax might be the limit of extra taxation that ordinary middle-income families can afford.
He said: “It is important to safeguard the vulnerable; it is important also not to hammer the middle classes.”
He added that “in protecting the vulnerable, it is vital not to forget the middle classes. Ultimately, when it comes to social protection, they (the middle classes) pay the bills.
“Millionaires spend their money on yachts; the middle classes spend their money in shops.”